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This morning in China, just moments before the local launch of the iPhone 4S, Apple announced that sales of the device have been indefinitely halted. With riot-like conditions at its flagship Beijing store threatening the safety of Apple employees, Cupertino pulled the plug on iPhone sales at all Beijing and Shanghai stores until a solution can be found.

Meanwhile, almost a million souls toil away in dangerous, dirty conditions at Foxconn’s factories, producing iPhones, iPads, Macs, and a plethora of other high-tech goods for a fraction of what Apple’s employees earn at the Beijing store. It is not difficult to see the irony of this situation.

Over the last few years Foxconn has received a lot of negative press that, because of their close association, has tarnished Apple. First there was a spate of over a dozen suicides, which resulted in Foxconn installing suicidal-jumper-catching nets throughout its factories and forcing workers to sign a no-suicide pact. Following the suicides Apple sent a team, including then-COO Tim Cook, to investigate the situation. The suicides also triggered a group of 20 Chinese universities to produce a report that branded Foxconn factories as “labor camps.”

In 2011, an explosion occurred in Foxconn’s Chengdu factory, killing two and wounding many others. Reports of poor and dangerous working conditions continue to trickle in. Then, just this week, hundreds of Foxconn workers threatened to commit suicide unless conditions improved.

Over in Beijing, the anointed blue t-shirts continue to work from their pristine, pearly Apple Store, selling high-profit goods to a highfalutin’ clientele. I sincerely doubt that many Apple Store workers have been driven, by work-related stress, to suicide. I’m sure the working conditions are anything but tough.

Now, don’t get me wrong, I’m not faulting Apple for closing stores to safeguard its employees. In the US we would do exactly the same thing, and if any part of China is similarly “Western” in its treatment of humans, it’s the Chinese special economic zones (Shanghai, Shenzhen, Guangzhou and so on). Imagine being a C-level executive at Apple, though, and trying to ameliorate this massive disparity in worker conditions. How do you sleep at night, knowing that the mother of a Chinese family works in squalor, teetering on the precipice of death, while the father works in a clean and safe Apple Store?

To be fair, though, it’s hard to find a difference between Apple’s situation and any other Western company that outsources to China and India. We are well aware, as a populace, that almost all of our clothing and gadgets are produced in Asian sweatshops. Conscientious types try their best to “buy American,” but the reality is that many goods are exclusively produced in Asia — and heck, home-grown gear is generally very expensive, too.

And therein lies the crux: Apple, like Dell or Adidas, is beholden to capitalism and a free market economy. If Foxconn decided to increase its prices, Apple would go elsewhere. Likewise, if Apple decided to give Foxconn more money, on the proviso that it pays its employees more, iPads and iPhones would be more expensive -– and then what do you think competitors like Samsung or Amazon would do? The sole reason that labor camp factories exist, despite how awful they sound to those of us with cushy, safe jobs, is because they are viable. Foxconn employs almost one million people across the world, but as sad as it sounds, most of that million are better off for actually having a job. Since 2010, around 20 Foxconn employees have committed suicide — tragic, I know — but to put that into perspective, the suicide rate in China is actually higher outside of Foxconn’s factories.

In short, the Foxconns of this world only exist because of consumer demand. Apple’s Asian antics might insult your Western sensibilities, but they’re just a fact of free market life: It’s cheaper to employ a Chinese person than an American. For what it’s worth, we’ll only be able to enjoy cheap Asian labor for another few years anyway — by 2025, the Chinese and Indian economies are expected to surpass the United States, and by 2050 their per-capita GDP should match the US and UK as well. By 2060, Europeans and Americans will probably be Foxconn’s cheap laborers of choice.

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Sure thing — will fix it. I simply meant it as ‘someone from China’. (Englishman or Irishman are both fine and non-offensive in my country.)

Jason H

whats offensive about it???

Neon Frank

Exactly, what is offensive about “Chinaman” ?? I worked in Shanghai for almost 9 years and there is nothing at all wrong with the term “Chinaman” and is even something that a Chinese person would say. If you want to be offensive, call them Chinks. Yea, this is so off topic from the article but it should be said. File this under “Can’t say Merry Christmas” any more too.

On topic: A very good Swedish friend of mine in Shanghai worked for Foxxconn a few years back. So many unbelievable stories he would tell me about what goes on at Foxxconn. In short, its the Taiwanese managers who look at Mainland Chinese with disdain and as peasants. From my years of working in China and from my Chinese wife, I can say this is to be true.

http://www.mrseb.co.uk Sebastian Anthony

Apparently it’s offensive because it was used pejoratively (negatively) a long time ago. When some people use it today, they are referring back to those olden days, or something. (I had no idea about this, though, until I looked it up.)

I’ll ask my mate if he would share some stories, better coming direct from him than second hand from me. :)

By the way look at my comment below about multi-national companies in China, this I can directly comment on from my experience.

Anonymous

It’s my sense that Apple gets unfair special treatment on this topic. Why no mention of this at a plant making Microsoft XBoxes: http://seattletimes.nwsource.com/html/microsoftpri0/2017215292_mass_suicide_threat_at_chinese_plant_that_makes_xb.html

I’m not excusing Foxconn’s working conditions regardless of whose contracts they’re filling. But reading articles like this website would make you believe Apple is unique in its subcontracting terms.

Anonymous

I am chilled by the author’s comment that the Foxconns of the world only exist because of “consumer demand”. Consumers ARE demanding and often not very thoughtful, but they don’t literally demand human lives and misery as the price of their goodies. Like most huge corporations, Apple has enough economic clout to ensure safe and humane working conditions for any of its workers, anywhere in the world. It’s apparently chosen not to use that clout. And all free market economies are not the same; some Western countries manage to care for their own citizens’ basic needs whilst also doing business in a relatively responsible manner.

http://www.mrseb.co.uk Sebastian Anthony

See comment below :)

Lupius

“to put that into perspective, the suicide rate in China is actually higher outside of Foxconn’s factories.”Well if you put it that way, then what’s the problem here? The truth is that China has a population of unemployed workforce always willing to work for less wages in worse conditions. There is absolutely nothing corporates can do to change that.

http://www.mrseb.co.uk Sebastian Anthony

Well, as Preilly2 says above you, Apple (probably) has enough economic clout to really change the working conditions of these workers.

I just don’t see how they could do that without driving up costs, though — and it would only work if every multinational did it.

Yeah, good timing, huh — Apple published some stuff just after I finished writing this story :)

http://www.mrseb.co.uk Sebastian Anthony

Yeah, good timing, huh — Apple published some stuff just after I finished writing this story :)

Neon Frank

Nope, what you said would never ever happen. Not even close to happening.

I worked in China for almost 9 years in manufacturing. The conditions in Chinese factories are unbelievably medieval. The working conditions, the food, the hours all squeezing blood from a stone.

Multi-national companies must complete a social responsibility audit of their Chinese suppliers when required. I have been through this procedure numerous times and every single time the audit has been fudged so the company back home is happy. Bottom line with multi-national companies is how to keep the costs down, and make it look like they are complying with social responsibilities.

That’s it, that simple. If these multi-national companies really were worried about social responsibility they wouldn’t be in China in the first place now would they? Social responsibility begins at home, correct? And what better way for a company to be socially responsible is at home providing jobs.

http://www.mrseb.co.uk Sebastian Anthony

Have deleted your dupe.

Thanks for sharing — and I’m glad you’re no longer working there!

Neon Frank

Thanks, I’m glad also, especially when the recession that China is trying desperately to avoid finally arrives. What a mess this will be boys and girls!!

If you want to get a insight of what’s happening on the ground in China check out Shanghai Expats forum

I agree, people pay more for apple products because they think they’re made in the u.s., not, as we’ve learned this year, in labor camps.

Neon Frank

Nope, what you said would never ever happen. Not even close to happening.

I worked in China for almost 9 years in manufacturing. The conditions in Chinese factories are unbelievably medieval. The working conditions, the food, the hours all squeezing blood from a stone.

Multi-national companies must complete a social responsibility audit of their Chinese suppliers when required. I have been through this procedure numerous times and every single time the audit has been fudged so the company back home is happy. Bottom line with multi-national companies is how to keep the costs down, and make it look like they are complying with social responsibilities.

That’s it, that simple. If these multi-national companies really were worried about social responsibility they wouldn’t be in China in the first place now would they? Social responsibility begins at home, correct? And what better way for a company to be socially responsible is at home providing jobs.

Anonymous

Not only is the Foxconn suicide rate lower than the rest of China, it’s way lower than the USA suicide rate. See these Wikipedia articles:

The China rate (males and females combined) is 22.23 per 100,000. The USA rate is 11.8 per 100,000.

According to Wikipedia, Foxconn had 14 suicides over 10 months in a population of 800,000. Over a full year, we would have expected 14/10*12=16.8 suicides. Dividing that by 8 gives us 2.1 suicides per 100,000 people per year.

That’s right, the Foxconn suicide rate is less than one fifth the suicide rate in the USA general population.

To be fair, we’re comparing an electronics manufacturing population in China with the general populations in China and the USA. Nevertheless, these numbers make me wonder why the Foxconn suicide rates were such a media sensation–at first glance, they seem to show a remarkably low suicide rate at Foxconn.

Satyanarayana Kundapuram

I have replied to your message below, but pasting again here.

Dude, that’s not the right way to look at it. I dont get why people compare suicide rates at Foxconn with that rest of the China or US. Having suicides elsewhere does not give a right to any company to have similar suicide rates in their work environment. Suicides elsewhere will be dealt in the appropriate forum and in appropriate ways. When apple has such a huge margin don’t they have moral responsibility of having suppliers or employees in good working conditions? The suicides in their factories should not happen due to poor wages, unsafe working conditions, child labor, overtime beyond acceptable limits etc. If those were the reasons for the suicides apple is responsible notwithstanding suicide rates in rest of the China or in US or anywhere else.

http://twitter.com/suninabox Patrick Someone

Did you read the stats Yowzer posted?

Not only does Foxcon have lower suicide rate than the US, but it has a lower suicide rate than the rest of China.

This means if you work at Foxconn you’re less likely to kill yourself than if you don’t.

And you’re blaming working conditions in Foxconn for the suicides because?

“If those were the reasons for the suicides apple is responsible notwithstanding suicide rates in rest of the China or in US or anywhere else. ”

So if you work for a company there should be 0 suicides? What are you talking about?

If you’re going to link Foxconn and suicides then the conclusion is that Foxconn REDUCES the rate of suicides, not increases it.

Paul Constable

“
Conscientious types try their best to “buy American,” but the reality is that many goods are exclusively produced in Asia — and heck, home-grown gear is generally very expensive, too.”

So why pay more to prevent people killing themselves, so long as you can have a fix of Angry Birds on the cheap…..

https://launchpad.net/~silverwave silverwave

You are using the word “Irony” incorrectly.

http://pulse.yahoo.com/_A3REJ3TNOO7UDOGZQVWH5OHIBQ 杨昌势YangChangshi

Afghans & the world are tired of a u.s. president who wages one war after another, so let a wise global peace-maker president who uses creative diplomacy & solutions be voted in 2012 to lead the world to peace & prosperity! u.s./vatican/west are all anti-african/arabian/asian/latin american! so why waste valuable latin american/asian/arabian/african time & money on such low down u.s./vatican/west nations?

Anonymous

Sad situation, but make no mistake. If Apple paid these workers more money, the price of their electronics does not have to go up. Apple just won’t make $200 per ipod sold or $400 per ipad. The reason that all these stylish and fashionable companies use Chinese labor is so that they can squeeze every last penny out of the buying public. These electronic devices and sneakers and t-shirts and shoes could all be made in this country , but “why make millions, when we can make BILLIONS.” Guess it’s the American way now. Screw and gouge everyone.

Anonymous

Apple doesn’t force you to buy their products. If everyone chose to boycott Apple because they don’t manufacture in the USA, or your favourite country, they’d change. I wish you luck if try to organize such a boycott because I think you’ll find that the vast majority of people would rather buy a cheaper product than one manufactured with expensive labour. In other words, it’s not Apple’s fault, it’s the free will of shoppers and Capitalism at work.

Anonymous

Apple doesn’t force you to buy their products. If everyone chose to boycott Apple because they don’t manufacture in the USA, or your favourite country, they’d change. I wish you luck if try to organize such a boycott because I think you’ll find that the vast majority of people would rather buy a cheaper product than one manufactured with expensive labour. In other words, it’s not Apple’s fault, it’s the free will of shoppers and Capitalism at work.

skilo skilo

How about bringing the jobs to the US there is plenty of people here that had rather work than commit suicide.

On a more positive note, Suicides are great for the enviroment, Hell if a few million kill themselves this year we might even have enough resources left for our offspring to enjoy a ham sandwich.

Anonymous

As I just posted above, the suicide rate in the general population of the USA is five times higher than at Foxconn. It’s quite possible that we’d have more suicides if the work was moved to the USA.

To be fair, I don’t know the USA suicide rate among electronics manufacturing population, which is the real number we should compare to the Foxconn suicide rate.

Actually the reason the conditions exist is because western countries allow products produced under inhuman conditions to be imported. They could easily ban or put a hefty duty on products produced by what is close to slave labor but they don’t

Anonymous

Consumerism does not demand anything. As stated elsewhere it is simply the profit margins “required” by the share-holders as well as the greed, racism (yes the r word), and general corruptness of the capitalistic class itself that allows and even encourages these conditions to continue.

That’s all it is. A Concious effort to change will bring about success however

http://www.facebook.com/PhotographerMN Patrick McCutchan

I still blame Samsung. Its a set up I know it. lol

http://www.facebook.com/PhotographerMN Patrick McCutchan

The next Nexus Phone should be a Sony.

Anonymous

go to “this american life” and listen to the archive 2012 commentary about what the workers say – its fascinating.

http://twitter.com/fivewisdoms Five Wisdoms

I’m usually a big Apple fan, both in speech, and with my pocketbook, having bought countless iMac’s, iPhones, iPads, Macbook Pro’s, and Macbook Air’s. After I heard all these stories about the suicides, I won’t be buying any more Apple products until I see things change for the better at their subcontractor plants. To me, it is absurd that Foxconn builds nets outside their buildings, instead of changing the conditions the workers are complaining about! As far as the argument that Apple is being singled out, when all types of other manufacturers are contracting out to Foxconn as well, my rebuttal is that I pay twice the amount for almost anything I buy from Apple. Thus, obviously, price is not a factor in what I buy, but rather the quality of the product, and the moral social consciousness of the company I am rewarding with my purchases. Shame on Apple!

Anonymous

As I just posted above, the suicide rate in the general population of the USA is five times higher than at Foxconn. In other words, it’s quite possible that Apple is saving USA lives by having the manufacturing done in China. Now, doesn’t that make you feel better about buying Apple products? :-)
Never take what you read in the media at face value–do a little bit of research using your favourite search engine.To be fair, I don’t know the USA suicide rate among electronics manufacturing population, which is the real number we should compare to the Foxconn suicide rate.References: http://en.wikipedia.org/wiki/L…http://en.wikipedia.org/wiki/F…

Anonymous

As I just posted above, the suicide rate in the general population of the USA is five times higher than at Foxconn. In other words, it’s quite possible that Apple is saving USA lives by having the manufacturing done in China. Now, doesn’t that make you feel better about buying Apple products? :-)
Never take what you read in the media at face value–do a little bit of research using your favourite search engine.To be fair, I don’t know the USA suicide rate among electronics manufacturing population, which is the real number we should compare to the Foxconn suicide rate.References: http://en.wikipedia.org/wiki/L…http://en.wikipedia.org/wiki/F…

Satyanarayana Kundapuram

Dude, that’s not the right way to look at it. I dont get why people compare suicide rates at Foxconn with that rest of the China or US. Having suicides elsewhere does not give a right to any company to have similar suicide rates in their work environment. Suicides elsewhere will be dealt in the appropriate forum and in appropriate ways. When apple has such a huge margin don’t they have moral responsibility of having suppliers or employees in good working conditions? The suicides in their factories should not happen due to poor wages, unsafe working conditions, child labor, overtime beyond acceptable limits etc. If those were the reasons for the suicides apple is responsible notwithstanding suicide rates in rest of the China or in US or anywhere else.

Anonymous

My point was simply that since Foxconn has managed to get the suicide rates so low, we should ask what they’re doing right so that we can learn from them. Perhaps the wages they’re paying and the working conditions are much better that those in the prevailing market place.

I’m curious. How low would the suicide rate at Foxconn have to go before you felt it was good enough? Would you apply those same measurements to US factories? What should the punishment be for US factories whose suicide rates are higher than Foxconn’s? Would you still blame low wages, poor working conditions, and so on for those suicides at US factories?

I think I get the gist of your point, that Apple is very profitable and should deal with reputable suppliers, and I agree. I also agree that suicides shouldn’t happen due to poor wages, unsafe working conditions, child labor, unsafe overtime, and so on. But I’ve seen no evidence that there are problems at Foxconn. In fact, from the suicide rate alone, it appears that Foxconn is doing much better than US factories and certainly much better than the rest of China. In other words, I think Apple is meeting its moral responsibility burden that we both agree they carry.

Note that suicide is a very complex subject. It’s unreasonable to expect a suicide rate of zero.

Anonymous

My point was simply that since Foxconn has managed to get the suicide rates so low, we should ask what they’re doing right so that we can learn from them. Perhaps the wages they’re paying and the working conditions are much better that those in the prevailing market place.

I’m curious. How low would the suicide rate at Foxconn have to go before you felt it was good enough? Would you apply those same measurements to US factories? What should the punishment be for US factories whose suicide rates are higher than Foxconn’s? Would you still blame low wages, poor working conditions, and so on for those suicides at US factories?

I think I get the gist of your point, that Apple is very profitable and should deal with reputable suppliers, and I agree. I also agree that suicides shouldn’t happen due to poor wages, unsafe working conditions, child labor, unsafe overtime, and so on. But I’ve seen no evidence that there are problems at Foxconn. In fact, from the suicide rate alone, it appears that Foxconn is doing much better than US factories and certainly much better than the rest of China. In other words, I think Apple is meeting its moral responsibility burden that we both agree they carry.

Note that suicide is a very complex subject. It’s unreasonable to expect a suicide rate of zero.

http://www.facebook.com/denise.gallin Denise Gallin

“It’s unreasonable to expect a suicide rate of zero.”I TOTALLY DISAGREE:It’s totally reasonable to expect from the most profitable company in the world to provide working conditions with ZERO suicides, pension schemes, healthcare, education, respect for the environment and the humans that create such incredible profit margin.

http://twitter.com/suninabox Patrick Someone

If you think ZERO suicides is a reasonable goal, then you should be 5 times more pissed off with the US government than you are with Foxconn/Apple because people kill themselves 5 times more often in the US than they do working for Foxconn.

It’s because of this and China not having to worry about environmental regulations, that American workers are not able to compete with the Chinese. They treat their workers like shit and if they need to get rid of some toxic sludge, they just dig a ditch from the factory to the river and let er rip. I have seen many pictures of this. Red stuff green or blue who knows what it is, and they don’t care if the river dies or not. And then our company’s get hit with some crazy strict regulations. Because we have a bunch of environmental crazy’s who don’t want anything to be produced in this country. Because even if you take a reasonable amount of caution their will be some pollution. And they would rather us loose all of our manufacturing so that all the pollution is in China and not here. I hate that all of our manufacturing company’s are outsourcing, but I now understand why they do it.

Harold Bowman

Pause for a moment and take a look at Apples growing profits. I have no beef with profits but they could afford to give a little in order to pay a better wage or provide better working conditions to those at Foxconn or wherever. I own a heating AC business (non-union) and pay my workers very well. We do not strive for excessive profit even through the co-owners would always like more. Being reasonable is what we strive for in our business.

Satyanarayana Kundapuram

Hi Harold
I appreciate your business practices and have deep respects for you though I have not known you in person. Keep up the goodness in you.

Love n Peace!

Satyanarayana Kundapuram

Hi Harold
I appreciate your business practices and have deep respects for you though I have not known you in person. Keep up the goodness in you.

Love n Peace!

Harold Bowman

Pause for a moment and take a look at Apples growing profits. I have no beef with profits but they could afford to give a little in order to pay a better wage or provide better working conditions to those at Foxconn or wherever. I own a heating / AC business (non-union) and pay my workers very well. We do not strive for excessive profit even through the co-owners would always like more. Being reasonable is what we strive for in our business of course no one is getting rich here.

He is dedsetmad

The use of desperate people who will work for almost anything is one reason why I do not have an iphone or an ipad and never will.

http://pulse.yahoo.com/_RT7PF3CIQAFQNOQO2OAUNZHBBY Karma

I just have one question, “Is it only Apple, Dell, and etc are at fault, just the suppliers, or both?” This may trickle down even deeper then one may think. Don’t we already have people breathing down our neck just to make them look good in US or EU already? Those are also the thieves who also took money from the slave labors. There are plenty of them everywhere in the world, and China is the worst. Those leeches don’t have to have a degree since their friends, parents, and wherever else they got connection from, they have no humanity left in them, (e.g. even a penny more is still making them happy. Just like the Wall Street and every other short sight execs here, all they care is the NUMBER. Sadly, but is the truth. Just like Kim Jong Ill’s son, what quality does he has to the the next supreme ruler, and people will have to kiss his behind? We all know it’s his father. So I am saying that it’s the epitome of the Asian culture and whatever else in this case. Yeah, cheer for the deregulations fan boys. Free market, no rules = no holds bar, rock-on dudes!

He is dedsetmad

“Chinaman” is no more derogatory than Scotsman. It makes me lol when silly people get all bent out of shape about a combination of letters making up a word. But the “fault” (read: interpretation) is in the mind of the person who hears it…….there is no such thing as a dirty word.
Anyway dex, who made you the word Sherrif of Nottingham, take a long walk along a short bridge.

http://twitter.com/suninabox Patrick Someone

Yet more “suicide” hysteria, completely ignoring the fact that suicides in Foxconn are lower than the US and China as a whole.

“oh but that doesn’t matter! It’s the terrible working conditions that matter!” Okay so why mention the suicides like they’re relevant? If we are to surmise anything from the suicide rate at Foxconn is that life is BETTER working at Foxconn than it is being the average chinese worker not at foxconn. Author you should be ashamed of yourself for spreading misinformation just to make a story.

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